12 CFR §1002.15 — Incentives for self-testing and self-correction (Regulation B / ECOA)
Regulation B §1002.15 sets up a self-test privilege regime: where [LENDER] voluntarily conducts (or authorizes) a self-test for ECOA compliance, the report or results are privileged against use by government agencies or applicants in examinations / investigations / proceedings — but ONLY if [LENDER] has taken or is taking appropriate corrective action when the self-test shows it is more likely than not that a violation occurred. The privilege is forfeited if [LENDER] voluntarily discloses any part of the report or results, uses it as a defense, or fails to retain required documentation under §1002.12(b)(6).
Verbatim regulatory text
Verbatim provisions from 12 CFR §1002.15 — Incentives for self-testing and self-correction (Regulation B / ECOA) — each quote is a verified substring of the regulator-published source snapshot, not retyped. Quoted for reference; this is not legal advice. The operational layer (P&P updates, prompts) lives in the regulation update kits.
12 CFR §1002.15(a)(2) — Corrective action required for self-test privilege
(2) Corrective action required. The privilege in this section applies only if the creditor has taken or is taking appropriate corrective action.
12 CFR §1002.15(c)(1) — Appropriate corrective action triggered when likely violation
(c) Appropriate corrective action —(1) General requirement. For the privilege in this section to apply, appropriate corrective action is required when the self-test shows that it is more likely than not that a violation occurred, even though no violation has been formally adjudicated.
12 CFR §1002.15(c)(2) — Scope of appropriate corrective action
(2) Determining the scope of appropriate corrective action. A creditor must take corrective action that is reasonably likely to remedy the cause and effect of a likely violation by:
12 CFR §1002.15(d)(2)(i) — Voluntary disclosure forfeits privilege
Voluntarily discloses any part of the report or results, or any other information privileged under this section, to an applicant or government agency or to the public;
12 CFR §1002.15(d)(2)(iii) — Failure to retain §1002.12(b)(6) records forfeits privilege
Fails or is unable to produce written or recorded information about the self-test that is required to be retained under § 1002.12(b)(6) when the information is needed to determine whether the privilege applies.
12 CFR §1002.15(c)(2) — Scope of appropriate corrective action — enumerated items (chapeau recall fix)
(i) Identifying the policies or practices that are the likely cause of the violation ; and (ii) Assessing the extent and scope of any violation .